1. Day and Night contributed the following in forming a partnership business: Day 280,000 Night Cash Accounts receivable 100,000 Inventory 160,000 Building (at carrying amount) 760,000 Total 540,000 760,000 Additional information: Only 60% of the accounts receivable is recoverable. The net realizable value of the inventory is P120,000. Day acquired the inventory on account; the partnership will assume the unpaid balance of P60,000. The building has a fair value of P900,000. Requirement: Provide the journal entry.

1. Day and Night contributed the following in forming a partnership business: Day 280,000 Night Cash Accounts receivable 100,000 Inventory 160,000 Building (at carrying amount) 760,000 Total 540,000 760,000 Additional information: Only 60% of the accounts receivable is recoverable. The net realizable value of the inventory is P120,000. Day acquired the inventory on account; the partnership will assume the unpaid balance of P60,000. The building has a fair value of P900,000. Requirement: Provide the journal entry.

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter15: Financial Statement Analysis

Section: Chapter Questions

Problem 14BEA: Last year, Nikkola Company had net sales of 2.299.500,000 and cost of goods sold of 1,755,000,000....

See similar textbooks

Similar questions

Consider the following financial statement information for the Newk Corporation: Beginning $10,382 Ending $ 11,180 6,181 6,293 Item Inventory Accounts receivable Accounts payable Net sales. Cost of goods sold 5,651 5,952 Operating cycle Cash cycle $ 139,303 87,113 Assume all sales are on credit. Calculate the operating and cash cycles. Note: Do not round intermediate calculations and round your answers to 2 decimal pla 2.19 days days
Please provide also the solutions. Thank you! This Year: Accounts receivable = P135,000 Inventory = P136,000 Sales on account = P698,000 Cost of goods sold = P429,000 Last year: Accounts Receivable = P119,000 Inventory = P155,000 1. The accounts receivable turnover for this year is closest to:a. 0.88b. 5.50c. 5.17d. 1.13 2. The average collection period for this year is closest to:a. 65 daysb. 56 daysc. 80 daysd. 90 days
The following information is available for Rivers, Inc.: 12/31/20A2 12/31/20A1Cost of Goods Sold $ 900,000 $ 700,000Net Sales 1,500,000 1,000,000Accounts Receivable 180,000 200,000Allowance for Doubtful Accounts 30,000 40,000What was the accounts receivable turnover ratio for 20A2? Group of answer choices 8.33 9.68 7.89 5.81
From the following information, find receivable turnover. Sales 375000 (60% credit ) Account receivable 31.12 125000 Current Assets 760000 Cost of sale 120000 Fixed Assets 1440000 Net profit 30000 Inventory 800000 Current Liabilities 600000. Total assets 125000 Account receivable 1.1 25000 Select one: O a. 3 O b. The correct answer not available О с.5 O d. 1.5
Tania’s year end trial balance includes the following balances: $ Opening inventory 12,964 Trade receivables 43,728 Bank overdraft 5,872 Trade payables 28,627 Tania’s closing inventory is valued at $11,625 Based on the above figures, what is the value of Tania’s current assets?
The following balance sheet information was provided by O'Connor Company: Assets Cash Accounts receivable Inventory Year 2 Year 1 $ 2,300 $ 1,300 5,300 7,300 $ $ 23,000 24,000 Assuming that net credit sales for Year 2 totaled $148,000, what is the company's most recent accounts receivable turnover? Multiple Choice O 11.75 times 20.27 times 27.92 times 23.49 times MacBook Air
The following balance sheet information was provided by Western Company: Assets Cash Accounts receivable Inventory Multiple Choice O 110.6 days Assuming Year 2 net credit sales totaled $132,000, what was the company's average days to collect receivables? Note: Use 365 days in a year. Do not round your intermediate calculations. 52.5 days 55.3 days Year 2 58.1 days $3,200 $21,000 $36,000 Year 1 $2,700 $19,000 $42,000
The following data was generated as of December 31Accounts receivable, Jan 1 550,000.00Accounts receivable collected 875,000.00Cash Sales 350,000.00Inventory, January 1 450,000.00Inventory, December 31 275,000.00Purchases 950,000.00Gross Margin on Sales 375,000.00 a.) How much is the total sales?b.) How much is the cost of sales?c.) How much is the ending Receivable as of Dec 31?d.) How is the credit sales?
Riggy Company provided you with the unadjusted selected accounts on December 31, 200E. P 850,000 50.000 P 800.000 Sales Less: Sales renurns Net Sales Accounts Receivable Less: Allow, for bad debts Net Realizable value P 74,000 12.000 P 62,000 Beginning inventory Ending inventory P 45,000 60,000 Freight in Freight out 12,000 20,000 If bad debts instead are estimated to be 10% of accounts receivable, what is the adjusted balance of the allowance for bad debts account?
You are provided with the following information:Sales for the year $400 000Discounts provided during the year to customers for early payment $10 000Doubtful debts expense for the year $5 000Opening balance of accounts receivable $90 000Closing balance of accounts receivable $80 000Opening balance of the provision for doubtful debts $9 000Closing balance of the provision for doubtful debts $8 000Cost of goods sold for the year $60 000Purchases for the year (on credit terms) $80 000Discounts received for early payment to suppliers $2 000Stock write-offs owing to water damage caused by melting ice inthe Antarctic$5 000HI5020 Corporate Accounting Tutorial Assignment T1 2021 Page 3 of 5Opening balance of trade creditors $40 000Closing balance of trade creditors $35 000Opening balance of inventory $10 000Closing balance of inventory $25 000Required:(a) Calculate the cash receipts from customers during the year. (3.5 marks)(b) Calculate the cash payments to suppliers during the year. (3.5…
Excerpts from BBB Leasing's December 31, 20x2 and 20x1, financial statements are presented below: Accounts receivable Merchandise inventory Net sales Cost of goods sold Total assets Total shareholders' equity Net income Multiple Choice What is BBB's receivables turnover for 20x2? (Round your answer to 2 decimal places.) 3.37. 2.23. 4.00. 20x2 $ 60,000 38,000 212,000 200,000 134,000 118,000 445,000 415,000 260,000 235,000 47,500 38,000 20x1 $ 46,000 55,000 7.42.
An entity provided the following information for the current year: Accounts receivable – January 1 P2,000,000 Credit sales 10,000,000 Collection from customers, excluding recovery of accounts written off 8,000,000 Accounts written off as worthless 100,000 Sales return 500,000 Recovery of accounts written off 50,000 Estimated future sales returns on December 31 150,000 Estimated uncollectible accounts on December 31 per aging 300,000 What is the “amortized cost” of accounts receivable on December 31?